The RBI rescued Yes Bank but has left the depositors of PMC Bank in the lurch.
Yesterday, Yes Bank took possession of assets of Reliance ADAG Groups office space in Santacruz and elsewhere in the city of Mumbai. Reliance ADAG is the single biggest defaulter of Yes Bank. It owes the bank 12,000 Crore Rupees.
It is well known that Anil Ambani, the owner of Reliance ADAG Group is the blue eyed boy of Narendra Modi Government. So much so that a company registered a few day before the Rafale Deal by Anil Ambani walked away with an offset contract in the deal between India and France.
Yes Bank has been mired in controversy. It almost went under until RBI stepped in and agreed to open a window of credit to the bank. As a result, even after a run on the bank, Yes Bank managed to survive. The former CMD of Yes Bank continues to be prosecuted in various acts of omission and commission. But the moot point is why Yes Bank was rescued and PMC Bank which has a much smaller default was left in the lurch?
PMC Bank is under an RBI Administrator and its depositors continue to suffer. PMC Bank management gave DHFL loans that went bad. The case is under investigation by EOW of Mumbai Police and various charge sheets and cases have been filed. Meanwhile depositors of PMC Bank continue to suffer. Going by Yes Bank standards, the money of depositors is peanuts for RBI.
So the question is why Yes Bank was rescued and PMC Bank is languishing?
Are there skeletons in the Yes Bank Balance Sheet that threaten the crony capitalists that are close to the current government?
Then is it not a case of using public money to bail out crony capitalists via rescue of a private bank?
What then happens to the Modi Governments promise to curb corruption and not allow the nation to be taken to the cleaners?
And as long as the current government stands, it will never be possible to get to the truth because the government itself is protecting the culprit bank. How can any police department ever over ride both RBI and the Central Government to get to the truth?
Three PMC depositors have died recently waiting to access their own money. More will die. Who is responsible for these deaths? It is not just a bank that is languishing, PMC Bank has real depositors and real money lying stuck and depositors are dying.
